The Application of DEA in the Risk Assessment of the Supply Chain Partner

Various enterprises in the supply chain are inevitably linked on purpose of the existence of value-added. However, each company has been in the pursuit of self-interest maximization, making that there are potential conflicts of interest among the stakeholders in the supply chain. Therefore, it is necessary to study the risk among the supply chain partners, which makes this the normal functioning of the supply chain. DEA method is applied to the risk assessment of the supply chain partners in this article, then we can determine the validity of DEA decision-making unit, at the same time, we can also determine the overall size of the effect of the supply chain. Enterprises can develop strategies basing on the results, ultimately, to avoid the risk of the entire supply chain to achieve the goal of maximizing efficiency in the premise of ensuring their own interests.